PACIFIC HARBOR LINE, INC.

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1 (Cancels FT PHL 8100-D) PACIFIC HARBOR LINE, INC. FREIGHT TARIFF PHL 8100-E (Cancels Freight Tariff PHL 8100-D) NAMING RULES AND CHARGES GOVERNING STORAGE AT STATIONS ON THE PACIFIC HARBOR LINE, INC. STORAGE AND HAZARDOUS MATERIAL PROVISIONS ISSUED: January 22, 2018 EFFECTIVE: January 1, 2018 Pacific Harbor Line, Inc. Manager, Sales and Customer Service 705 North Henry Ford Avenue Wilmington, CA 90744

2 Table of Contents Railroad Private Car Storage and Hazardous Materials Application of Adjustments.. 2 Method of Canceling Items.. 2 Table of Contents.. 2 Section I: Extended Time... 3 Section II: Storage - private cars Private Loaded Cars Not Containing Hazardous Materials Item Private Empty Cars Not Containing Hazardous Materials Item Computation of Storage Charges Item Section III: Hazardous Materials Loading, Unloading and Storage Item Overloaded or Improperly Loaded Cars Item Railroad Cars Containing Hazardous Materials or Hazardous Material Residue Item Private Cars Containing Hazardous Materials or Hazardous Material Residue Item Securing Leaking Cars Item Section IV: Miscellaneous Storage Items... 7 Notification by Customer to Railroad Item Notification by Railroad to Customer Item Billing Item Payment Item Extension of Credit Item Claims Item Holidays - Item Notes and Definitions /10 Explanation of Abbreviations and Reference Marks. 11 Application of Adjustments All charges in this tariff are subject to annual adjustment by application of the Q1 RCAF-U (Effective January 1st of each calendar year.) Method of Canceling Items As this tariff is supplemented, numbered items with lettered suffixes cancel correspondingly numbered items in the original tariff or in a prior supplement. Letter suffixes will be used in alphabetical sequences starting with A. Example: Item 100-A cancels Item 100 and Item 200-B cancels Item 200-A in a prior supplement which in turn cancelled Item

3 Section I: Extended time Using a car When we move a shipment for you, our switch rates include the movement of your shipment from our interchange to you. PHL s switch fee is usually absorbed by our line haul rail partners. These rail partner s line haul rates include the movement of your shipment from origin to destination, as well as a limited time for you to load or unload the railcar. From time to time, you may need to use a railcar for a longer period of time, or have us hold a car on our track. If you cannot accept a railroad-owned railcar when we are ready to deliver it to you, or if you keep a railroad-owned car on your private siding for an extended period, our rail partner will charge a fee, which is called demurrage. Your cost ends when you release the car or reject the car via (See Item 8900) and make it available for us to pull it from your siding. For more on demurrage, see the demurrage tariffs of the BNSF and the UP. If you cannot accept a privately-owned railcar when we are ready to deliver it to you, we charge a fee which is called storage. Your cost ends when you request spotting of the car or reject the car via (See Item 8900). There is no storage charge to you when you keep a privately owned railcar on your private siding for an extended period. For more on storage, see Section II. There are additional charges for handling hazardous materials, in addition to applicable storage charges, see Section III. We encourage the efficient use of our cars and track. It helps us to efficiently plan the placement of cars - so you get the car you want when you want it - and your shipments arrive at their destination without unnecessary delay. Efficient asset utilization helps us supply the right car, at the right place, at the right time. That benefits you, and every one of our customers. Applicable demurrage or storage fees will begin and end at 0001 hrs. each day and fees will be assessed based on a 24 hour period or fraction thereof

4 Section II: Storage private cars We give you credit days for loading and unloading cars, which you can use to offset debit days during a service period. We also provide you with credit days for some holidays. Storage fees for extended use are assessed beginning at the time of constructive placement, and extend until the car is placed on your private track. Credit days are awarded as follows: PRIVATE LOADED CARS NOT CONTAINING HAZARDOUS MATERIALS Private loaded cars held on our track....2 credit days allowed ITEM 8200 $53.21 per car, per day PRIVATE EMPTY CARS NOT CONTAINING HAZARDOUS MATERIALS ITEM 8250 Private empty cars held on our track....2 credit days allowed Liability: We accept no liability and the user of the storage agreement releases our railroad from such liability, with respect to any damage, loss or injury to the empty car(s) or its/their contents, while in stored status, except to the extent caused by the negligence or intentional acts of our company. $53.21 per car, per day The party responsible for charges on this car is the party responsible for the car while empty on our track, which may be the origin or destination industry located on our railroad. COMPUTATION OF STORAGE CHARGES ITEM 8350 Computation of storage charges will begin at the first 0001 (12:01 a.m.) after the time that constructive placement begins, and ends at the time the rail car is placed on your private track. Credit days will be allowed for loading and unloading, based on items in this tariff. For cars containing hazardous materials or hazardous material residue, see Section III, Items 8500 through 8800, for additional charges and requirements

5 Section III: Hazardous materials Safety is our first priority We never compromise safety. We are particularly diligent when it comes to the safe transportation of hazardous materials, including empty cars with hazardous material residue. No credit days will be allowed for any car containing hazardous materials or hazardous material residue. Hazardous Materials are defined as Hazardous Wastes and Hazardous Substances as named in Hazardous Materials Regulations of the U.S. Department of Transportation in 40 Code of Federal Regulations (CFR) 260 through 263 and 49 CFR or successor thereof, requiring the use of 4-digit identification numbers on shipping documents, placards or panels. The following criteria reflect specific regulations of this railroad and North American regulatory authorities: LOADING, UNLOADING AND STORAGE ITEM 8500 Hazardous materials may not be loaded, unloaded or stored on our tracks. Shippers, consignees and unloaders must take cars into a recognized secure facility without delay. OVERLOADED OR IMPROPERLY LOADED CARS ITEM 8550 Overloaded, improperly loaded or improperly secured cars will not be pulled unless it is determined that it is safe to do so, and authorized by regulatory agencies. This may require such things as weight reduction, return to origin, or movement towards destination under restriction (e.g., check pressure en route). RAILROAD CARS CONTAINING HAZARDOUS MATERIALS OR HAZARDOUS MATERIAL RESIDUE Additional Charge for Hazardous Materials in railroad-owned railcars credit days allowed This charge will be in addition to, and run concurrent with, any applicable per day demurrage charges. ITEM 8600 $79.81 per car, per day, commencing the day after the car is received in interchange by PHL This charge applies to cars that are transporting hazardous materials, or have residue from a previous movement of hazardous materials. PRIVATE CARS CONTAINING HAZARDOUS MATERIALS OR HAZARDOUS MATERIAL RESIDUE ITEM 8700 Additional charge for Hazardous Materials in private cars..0 credit days allowed This charge applies to cars that are transporting hazardous materials, or have residue from a previous movement of hazardous materials. $ per car, per day, commencing the day after the car is received in interchange by PHL - 5 -

6 Section III: Hazardous materials (Cont d) SECURING LEAKING CARS ITEM 8800 Cars carrying dangerous goods/hazardous materials (or cars containing residue of dangerous goods/hazardous materials) which are found to be leaking may be moved to an isolation track for securement. The cost of securement varies widely, depending on the work involved. Securement fees will be assessed, and invoiced, on a case by case basis. The switching fee will apply to each occurrence of a non-accidental release (NAR) from a car loaded with or containing residue of hazardous material commodities. A NAR is defined as any unintentional release of hazardous material commodities during transportation that was not caused by a rail-related accident or derailment. NAR s includes leaks, splashes and other releases from improperly sealed or defective valves, fittings and broke seals, and also include the venting of hazardous gases from safety release devices. $ for switching. This charge does not include securement fees, which vary depending on the work involved. Payment of these charges is the responsibility of the origin or destination industry located on our railroad, or the owner of the commodity and/or third party tank car transloader

7 Section IV: Miscellaneous Storage Items NOTIFICATION BY CUSTOMER TO RAILROAD ITEM 8900 All notification of car placement, hold, availability or release must be made using or electronic 404 messages. If these are not working, the backup methods (temporary use only) are or fax. Notification must include the car initial and number, date, time and any other relevant information. The recorded date and time that the instructions are received will govern. During plant shutdowns, shipper assigned cars must be released from assignment to prevent accruing demurrage charges from our Class 1 partner railroads, or storage charges from PHL. NOTIFICATION BY RAILROAD TO CUSTOMER ITEM 8910 The railroad will provide notification if rail cars are ready to be delivered, are stopped en route, or are refused, by notifying the affected party (usually the care-of party, or the consignee if no care-of party is specified) electronically, by facsimile or by mail. Notice will be provided at these times: Cars to be delivered to a public track --- notice will be given following car arrival in interchange or when it is constructively placed. Cars to be delivered to the track of consignee --- notice will be given following car arrival in interchange or when it is constructively placed. Cars delivered to track of consignee will constitute notice. Cars stopped en route --- notice will be given to the consignor, consignee, care-of party, or owner responsible for the car being stopped upon arrival of the car at the point of stoppage. Notification will be given when, but not limited to, cars that are damaged, over-loaded or improperly loaded. Refused loaded car(s) --- When a loaded car is refused at destination, railroad will give notice of such refusal to the consignor or owner in writing or electronically, and include car initial, car number, commodity and if lading is transferred en route, the initials and number of the original car. BILLING ITEM 8930 You will be billed monthly for all cars released during the calendar month. Customers having facilities at separate stations cannot combine charges or credits accrued. Credits earned and storage days accrued will be calculated separately in accordance with charges and credits in this tariff. Excess credits earned in one calendar month cannot be used to offset storage days in another calendar month. Unless otherwise agreed upon and approved by this railroad, storage charges are the responsibility of consignor at origin, and consignee at destination. Your storage bill will include the total days accrued for all cars released during a calendar month. Total credits earned for early releases of cars will also be added. Then, if the total days exceed the total credits, charges will apply, based on charges outlined in this tariff. PAYMENT ITEM 8940 If you are the party responsible for storage charges (as published in this tariff or other documents) and have not established credit with us, or have had your credit cancelled by us, you will be subject to Liquidated Damages interest of 20% A.P.R., in addition to Demurrage and Storage charges. Interest will begin to accrue for charges not paid within thirty (30) days from the date of the Bill for the Storage charges

8 Section IV: Miscellaneous Storage Items (Cont d) EXTENSION OF CREDIT ITEM 8950 To establish credit with us, contact: Credit Administration Pacific Harbor Line, Inc. 224 S. Michigan Ave. Suite 330 Chicago, IL CLAIMS ITEM 8960 At times, there may be circumstances when charges are assessed, and the reasons for charges are beyond your control. We may provide relief for storage or hazardous material charges, provided you submit a claim, in writing, within thirty (30) days of the billing date, along with supporting documentation. Your claim must fully state the circumstance under which you request relief, and including the car initial, car number and location. Circumstances under which a claim may be made include: A. Improper charges (If you believe we have improperly assessed charges.). B. Bunching (When cars for loading are greater than the normal daily number of cars for placement, due to delay or irregularity created by us, you will be allowed free time equal to what you would have received had the car been placed as ordered. When cars for unloading are greater than the normal daily number of cars as a result of our railroad, or Acts of God as described below, you will be allowed free time equal to what you would have received had the cars not been bunched. For the purpose of applying this item, cars which moved from different points or over different routes to destination, and arriving on different dates, will not be considered bunched, even if tendered for delivery on the same day. The consignee will be allowed free time equal to what would have been received if the cars had been placed or tendered for placement, in the order of their arrival. Bunching relief for bunching which occurred while cars were on PHL s connecting class 1 railroads must be requested directly from those railroads.) C. Weather interference (Acts of God, including, but not limited to flood, storm, earthquake, hurricane, tornado, or to other severe weather or climatic conditions, as long as the condition lasted at least two (2) days.) D. Strike interference (When you cannot load, unload or receive a car from us, or cannot make a car available to us because of strike interference at the rail location served by us, storage days will be charged at a reduced rate of $36.85 per day during the period of strike interference, provided the disruption exceeds ten (10) days during one calendar month; when we cannot provide service to you due to strike interference at our company, storage days will not begin until we can place the car at your facility. This does not apply to: An inbound car, when the waybill is dated four (4) days or more after the beginning of strike interference. An empty car ordered for loading, when the order was placed after the beginning and prior to the ending of strike interference.) E. Missed switch allowance (An allowance for a missed switch will be offered for any car held under Constructive Placement Notification when we are unable to place the car in response to your orders.) F. Railroad error (If through our error, storage charges are assessed, the charges will be adjusted to the amount that would have accrued if we had not made an error.) HOLIDAYS ITEM 8970 The term Holiday means: New Year s Day, July 4 th, Labor Day, Thanksgiving Day, and Christmas Day

9 Notes and Definitions ACTUALLY PLACED A car is actually placed when it has moved to the track of the shipper or consignee, or the care of party, or team track. CAR DEMURRAGE RULES AND REGULATIONS Any cars handled under this tariff will be subject to demurrage rules and charges. CAR RELEASE Advice provided by the shipper or consignee to authorized railroad personnel, that the car is loaded or unloaded and available. This information must include the identity of the shipper or consignee, the party furnishing information, and the car(s) initial and number. CLASSIFICATION GOVERNING The term Uniform Freight Classification when used herein means Freight Tariff Uniform Freight Classification 6000-Series. CONSIGNEE The party to whom a shipment is consigned or the party entitled to receive the shipment. CONSIGNOR The party in whose name a car(s) is ordered; or the party who furnishes forwarding directions. CONSTRUCTIVE PLACEMENT Constructive placement is the industry term for cars held available for placement but held on our tracks, either at your request, awaiting your instructions, or because you are not able to accept cars. CREDIT A non-chargeable demurrage or storage day. Credits may be earned when a car is released by the customer and is used to offset chargeable demurrage days. Credits have no monetary value and are not carried over to a future service month. DEMURRAGE DAY A twenty-four (24) hour period (calendar day), or part thereof, commencing 0001 after tender. DIVERSION An order provided by the consignor instructing that a car be delivered to a location other than the one indicated on the original forwarding instructions. EMPTY CAR(S) ORDERED AND NOT USED Empty car(s), placed for loading as ordered, and subsequently released without being used in transportation service or, empty cars received from foreign railroad without being utilized by Customer. LOADED CAR A car that is completely or partially loaded LOADING The complete or partial loading of a car(s) in conformity with loading and clearance rules and, the furnishing of forwarding instructions. ORDER DATE The date that the consignor requests empty car(s) to be furnished for loading

10 Notes and Definitions (Cont d) PARTIAL UNLOADING The partial unloading of a car(s) and furnishing of the proper forwarding or handling instructions. PRIVATE CAR A car bearing other than railroad reporting marks that is not railroad-controlled. PRIVATE TRACK Tracks that are not owned or leased by the railroad. RECONSIGNMENT An order provided by the consignor to bill a car to other than the original consignee. (An order to turn over the car to another party that does not require any additional movement of the car is not a reconsignment). RESPONSIBILITY Demurrage and storage fees will be assessed to, and payment will be the responsibility of the party who detained rail cars for an extended period of time or for whom cars or stored. SERVICE PERIOD One calendar month. SHIPPER ASSIGNED CAR A railroad car that is put in a car pool for sole utilization of a customer. STATION LISTS AND CONDITIONS This tariff is governed by Tariff OPSL 6000-Series, for: Additions or changes in Name, Location or Abandonments of Stations. Prepay Requirements. Restrictions as to acceptance or delivery of freight. Changes in station facilities. When a station is abandoned, all provisions applicable thereto are cancelled, effective on the date of abandonment. STORAGE AGREEMENT An agreement that entitles our railroad to provide storage services for a specified number of cars at a specific location at a negotiated storage fee, and negotiated and agreed to by us and the owner, lessee, shipper or receiver of a private car. TENDER The notification, actual or constructive placement, of an empty or loaded car(s). TIME FOR CALCULATION OF DEMURRAGE ON RAILROAD OWNED EQUIPMENT Demurrage time begins at 00:01 (12:01 a.m. local time) after placement or notification of constructive placement, notice of availability or hold or notice of being held. It ends when the responsible party has provided us with the necessary instruction and/or documentation to release or order in the car and moves it forward. TIME FOR CALCULATION OF STORAGE ON PRIVATELY OWNED EQUIPMENT Storage time begins at 00:01 (12:01 a.m. local time) after placement or notification of constructive placement, notice of availability or hold or notice of being held. It ends when the car has been placed on private tracks, or when instructions for diversion, reconsignment or reshipment are received by our authorized personnel. UNLOADING The complete unloading of a car, and the advice received from the consignee that the car is empty and available to the railroad

11 EXPLANATION OF ABBREVIATIONS AND REFERENCE MARKS ABBR / REF ABBR BNSF CFR PHL OPSL REF UP [A] [C] [R] [NC] EXPLANATION Abbreviation BNSF Railway Code of Federal Regulations Pacific Harbor Line, Inc. Official Railroad Station List, OPSL 6000-Series Reference Union Pacific Railroad Company Addition Change in wording resulting in neither an increase or decrease in charges Increase - Effective January 1, 2018 per Application of Adjustments on page 2, this tariff. Reduction Brought forward without change (Underscored portion denotes change.) - END